Comparing Sequans Communications (NYSE:SQNS) and ASMPT (OTCMKTS:ASMVF)

Sequans Communications (NYSE:SQNS) and ASMPT (OTCMKTS:ASMVF) are both technology companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, earnings, valuation, analyst recommendations, risk, dividends and profitability.

Profitability

This table compares Sequans Communications and ASMPT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sequans Communications	-637.49%	-54.51%	-27.81%
ASMPT	N/A	N/A	N/A

Insider and Institutional Ownership

63.3% of Sequans Communications shares are held by institutional investors. Comparatively, 25.1% of ASMPT shares are held by institutional investors. 9.4% of Sequans Communications shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Sequans Communications and ASMPT”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sequans Communications	$27.19 million	1.67	-$109.28 million	($10.48)	-0.29
ASMPT	N/A	N/A	N/A	$2.23	9.42

ASMPT has lower revenue, but higher earnings than Sequans Communications. Sequans Communications is trading at a lower price-to-earnings ratio than ASMPT, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings for Sequans Communications and ASMPT, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sequans Communications	1	1	2	0	2.25
ASMPT	0	0	0	0	0.00

Sequans Communications presently has a consensus price target of $13.00, indicating a potential upside of 328.34%. Given Sequans Communications’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Sequans Communications is more favorable than ASMPT.

Summary

Sequans Communications beats ASMPT on 6 of the 11 factors compared between the two stocks.

About Sequans Communications

Sequans Communications S.A. engages in the fabless designing, developing, and supplying of cellular semiconductor solutions for massive and broadband Internet of Things (IoT) markets in Taiwan, Korea, China, rest of Asia, Germany, the United States, and internationally. It offers baseband solutions for use in encoding and decoding data based on 4G and 5G protocols for wireless processing platform for a cellular device; RF transceivers used to transmit and receive wireless transmissions; highly integrated SoC solutions that combine various functions into a single die or package; and LTE modules. The company also provides software, including source code and tools to enable manufacturers to integrate their solutions into their devices; and design support services. The company serves OEMs and ODMs Customers, as well as 4G and 5G wireless carriers. Sequans Communications S.A. was incorporated in 2003 and is based in Paris, France.

About ASMPT

ASMPT Limited, an investment holding company, engages in the research, design, development, manufacture, and marketing of machine and tools used in the semiconductor and electronics assembly industries. It operates in two segments, Semiconductor Solutions and Surface Mount Technology Solutions. The Semiconductor Solutions segment offers wire and die bonders, encapsulation solutions, test handlers, clip bonders, CIS equipment, TCB and flip chip bonders, mold under fill, panel molding, silver sintering, and laser grooving and dicing. This segment also provides metrology, automated optical inspection, singulation, trim and form, inspection, and test and packing solutions. The Surface Mount Technology Solutions segment offers assembly line solutions; DEK printing systems; SIPLACE placement systems; and ASM smart factory tools and services. It also offers agency, logistics, marketing, and property investment services; develops, produces, markets, and sells execution systems software solutions; and trades in semiconductor and surface mount technology equipment. The company operates in Singapore, China, Germany, Austria, Hungary, Romania, France, the Czech Republic, Poland, the Netherland, the United States, Mexico, Canada, Malaysia, Taiwan, Korea, Thailand, Japan, India, Vietnam, the Philippines, and internationally. ASMPT Limited was formerly known as ASM Pacific Technology Limited and changed its name to ASMPT Limited in June 2022. The company was incorporated in 1975 and is headquartered in Singapore.